Bill Title: To authorize school boards, for on-site renewable energy generation measures and in the same manner as for energy conservation measures, to enter into installment contracts subject to specified terms of payment, to provide that energy conservation installment contracts are subject to those same terms, and to establish a two-tiered, three-year renewable energy schools pilot program that creates a process for schools to obtain a supply of electricity generated from renewable energy resources.
Spectrum: Slight Partisan Bill (Democrat 38-21)
Status: (Engrossed - Dead) 2009-12-22 - To Energy & Public Utilities
[HB113 Detail]Download: Ohio-2009-HB113-Engrossed.html
As Passed by the House
128th General Assembly | Regular Session | 2009-2010 |
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Representatives Foley, Blessing
Cosponsors:
Representatives Celeste, Skindell, Morgan, Harris, Evans, Snitchler, Pillich, Mecklenborg, Murray, Phillips, Combs, Grossman, Harwood, Newcomb, McGregor, Chandler, Oelslager, Yates, Ujvagi, Weddington, Stewart, Yuko, Stebelton, Adams, J., Bacon, Hagan, Baker, Batchelder, Belcher, Bolon, Boose, Boyd, Brown, Bubp, Carney, DeBose, Domenick, Driehaus, Dyer, Garland, Goodwin, Goyal, Hackett, Heard, Koziura, Lehner, Letson, Luckie, Lundy, Mallory, Patten, Pryor, Szollosi, Uecker, Williams, B., Williams, S., Winburn
A BILL
| To amend sections 133.06, 133.20, 3313.372, 3313.46,
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and 4928.62 and to enact section 3313.377 of the
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Revised Code to authorize school boards, for
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on-site renewable energy generation measures and
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in the same manner as for energy conservation
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measures, to enter into installment contracts
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subject to specified terms of payment, to provide
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that energy conservation installment contracts
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are subject to those same terms, and to establish | 9 |
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a two-tiered, three-year renewable energy schools | 10 |
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pilot program that creates a process for schools | 11 |
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to obtain a supply of electricity generated from | 12 |
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renewable energy resources.
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 133.06, 133.20, 3313.372, 3313.46,
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and 4928.62 be amended and section 3313.377 of the Revised Code
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be enacted to read as follows:
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Sec. 133.06. (A) A school district shall not incur, without
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a vote of the electors, net indebtedness that exceeds an amount
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equal to one-tenth of one per cent of its tax valuation, except as
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provided in divisions (G) and (H) of this section and in division
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(C) of section 3313.372 of the Revised Code, or as prescribed in
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section 3318.052 of the Revised Code, or as provided in division
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(J) of this section.
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(B) Except as provided in divisions (E), (F), and (I) of this
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section, a school district shall not incur net indebtedness that
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exceeds an amount equal to nine per cent of its tax valuation.
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(C) A school district shall not submit to a vote of the
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electors the question of the issuance of securities in an amount
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that will make the district's net indebtedness after the issuance
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of the securities exceed an amount equal to four per cent of its
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tax valuation, unless the superintendent of public instruction,
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acting under policies adopted by the state board of education, and
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the tax commissioner, acting under written policies of the
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commissioner, consent to the submission. A request for the
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consents shall be made at least one hundred five days prior to the
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election at which the question is to be submitted.
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The superintendent of public instruction shall certify to the
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district the superintendent's and the tax commissioner's decisions
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within thirty days after receipt of the request for consents.
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If the electors do not approve the issuance of securities at
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the election for which the superintendent of public instruction
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and tax commissioner consented to the submission of the question,
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the school district may submit the same question to the electors
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on the date that the next special election may be held under
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section 3501.01 of the Revised Code without submitting a new
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request for consent. If the school district seeks to submit the
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same question at any other subsequent election, the district shall
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first submit a new request for consent in accordance with this
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division.
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(D) In calculating the net indebtedness of a school district,
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none of the following shall be considered:
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(1) Securities issued to acquire school buses and other
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equipment used in transporting pupils or issued pursuant to
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division (D) of section 133.10 of the Revised Code;
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(2) Securities issued under division (F) of this section,
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under section 133.301 of the Revised Code, and, to the extent in
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excess of the limitation stated in division (B) of this section,
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under division (E) of this section;
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(3) Indebtedness resulting from the dissolution of a joint
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vocational school district under section 3311.217 of the Revised
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Code, evidenced by outstanding securities of that joint vocational
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school district;
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(4) Loans, evidenced by any securities, received under
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sections 3313.483, 3317.0210, 3317.0211, and 3317.64 of the
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Revised Code;
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(5) Debt incurred under section 3313.374 of the Revised Code;
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(6) Debt incurred pursuant to division (B)(5) of section
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3313.37 of the Revised Code to acquire computers and related
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hardware;
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(7) Debt incurred under section 3318.042 of the Revised Code.
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(E) A school district may become a special needs district as
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to certain securities as provided in division (E) of this section.
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(1) A board of education, by resolution, may declare its
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school district to be a special needs district by determining both
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of the following:
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(a) The student population is not being adequately serviced
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by the existing permanent improvements of the district.
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(b) The district cannot obtain sufficient funds by the
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issuance of securities within the limitation of division (B) of
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this section to provide additional or improved needed permanent
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improvements in time to meet the needs.
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(2) The board of education shall certify a copy of that
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resolution to the superintendent of public instruction with a
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statistical report showing all of the following:
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(a) A history of and a projection of the growth of the
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student population;
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(b) The history of and a projection of the growth of the tax
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valuation;
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(c) The projected needs;
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(d) The estimated cost of permanent improvements proposed to
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meet such projected needs.
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(3) The superintendent of public instruction shall certify
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the district as an approved special needs district if the
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superintendent finds both of the following:
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(a) The district does not have available sufficient
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additional funds from state or federal sources to meet the
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projected needs.
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(b) The projection of the potential average growth of tax
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valuation during the next five years, according to the information
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certified to the superintendent and any other information the
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superintendent obtains, indicates a likelihood of potential
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average growth of tax valuation of the district during the next
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five years of an average of not less than three per cent per year.
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The findings and certification of the superintendent shall be
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conclusive.
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(4) An approved special needs district may incur net
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indebtedness by the issuance of securities in accordance with the
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provisions of this chapter in an amount that does not exceed an
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amount equal to the greater of the following:
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(a) Nine per cent of the sum of its tax valuation plus an
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amount that is the product of multiplying that tax valuation by
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the percentage by which the tax valuation has increased over the
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tax valuation on the first day of the sixtieth month preceding the
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month in which its board determines to submit to the electors the
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question of issuing the proposed securities;
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(b) Nine per cent of the sum of its tax valuation plus an
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amount that is the product of multiplying that tax valuation by
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the percentage, determined by the superintendent of public
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instruction, by which that tax valuation is projected to increase
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during the next ten years.
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(F) A school district may issue securities for emergency
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purposes, in a principal amount that does not exceed an amount
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equal to three per cent of its tax valuation, as provided in this
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division.
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(1) A board of education, by resolution, may declare an
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emergency if it determines both of the following:
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(a) School buildings or other necessary school facilities in
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the district have been wholly or partially destroyed, or condemned
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by a constituted public authority, or that such buildings or
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facilities are partially constructed, or so constructed or planned
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as to require additions and improvements to them before the
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buildings or facilities are usable for their intended purpose, or
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that corrections to permanent improvements are necessary to remove
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or prevent health or safety hazards.
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(b) Existing fiscal and net indebtedness limitations make
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adequate replacement, additions, or improvements impossible.
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(2) Upon the declaration of an emergency, the board of
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education may, by resolution, submit to the electors of the
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district pursuant to section 133.18 of the Revised Code the
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question of issuing securities for the purpose of paying the cost,
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in excess of any insurance or condemnation proceeds received by
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the district, of permanent improvements to respond to the
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emergency need.
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(3) The procedures for the election shall be as provided in
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section 133.18 of the Revised Code, except that:
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(a) The form of the ballot shall describe the emergency
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existing, refer to this division as the authority under which the
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emergency is declared, and state that the amount of the proposed
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securities exceeds the limitations prescribed by division (B) of
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this section;
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(b) The resolution required by division (B) of section 133.18
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of the Revised Code shall be certified to the county auditor and
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the board of elections at least seventy-five days prior to the
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election;
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(c) The county auditor shall advise and, not later than
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sixty-five days before the election, confirm that advice by
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certification to, the board of education of the information
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required by division (C) of section 133.18 of the Revised Code;
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(d) The board of education shall then certify its resolution
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and the information required by division (D) of section 133.18 of
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the Revised Code to the board of elections not less than sixty
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days prior to the election.
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(4) Notwithstanding division (B) of section 133.21 of the
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Revised Code, the first principal payment of securities issued
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under this division may be set at any date not later than sixty
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months after the earliest possible principal payment otherwise
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provided for in that division.
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(G)(1) The board of education may contract with an architect,
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professional engineer, or other person experienced in the design
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and implementation of energy conservation measures, as defined in
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section 3313.372 of the Revised Code, for an analysis and
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recommendations pertaining to installations, modifications of
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installations, or remodeling that would significantly reduce
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energy consumption in buildings owned by the district. The report
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shall include estimates of all costs of such installations,
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modifications, or remodeling, including costs of design,
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engineering, installation, maintenance, repairs, and debt service,
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and estimates of the amounts by which energy consumption and
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resultant operational and maintenance costs, as defined by the
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Ohio school facilities commission, would be reduced.
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If the board finds after receiving the report that the amount
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of money the district would spend on such installations,
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modifications, or remodeling is not likely to exceed the amount of
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money it would save in energy and resultant operational and
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maintenance costs over the ensuing fifteen years, the board may
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submit to the commission a copy of its findings and a request for
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approval to incur indebtedness to finance the making or
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modification of installations or the remodeling of buildings for
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the purpose of significantly reducing energy consumption.
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If the commission determines that the board's findings are
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reasonable, it shall approve the board's request. Upon receipt of
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the commission's approval, the district may issue securities
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without a vote of the electors in a principal amount not to exceed
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nine-tenths of one per cent of its tax valuation for the purpose
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of making such installations, modifications, or remodeling, but
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the total net indebtedness of the district without a vote of the
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electors incurred under this and all other sections of the Revised
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Code, except section 3318.052 of the Revised Code, shall not
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exceed one per cent of the district's tax valuation.
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So long as any securities issued under division (G)(1) of
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this section remain outstanding, the board of education shall
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monitor the energy consumption and resultant operational and
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maintenance costs of buildings in which installations or
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modifications have been made or remodeling has been done pursuant
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to division (G)(1) of this section and shall maintain and annually
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update a report documenting the reductions in energy consumption
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and resultant operational and maintenance cost savings
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attributable to such installations, modifications, or remodeling.
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The report shall be certified by an architect or engineer
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independent of any person that provided goods or services to the
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board in connection with the energy conservation measures that are
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the subject of the report. The resultant operational and
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maintenance cost savings shall be certified by the school district
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treasurer. The report shall be made available to the commission
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upon request.
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(2) If the board determines that the amount of money the | 216 |
district would spend on renewable energy generation measures as | 217 |
defined in section 3313.372 of the Revised Code is not likely to | 218 |
exceed the amount of money it would save in energy and resultant | 219 |
operational and maintenance costs over the ensuing thirty years, | 220 |
the board may choose one of the following options: | 221 |
(a) Elect not to incur indebtedness to finance renewable | 222 |
energy generation measures; | 223 |
(b) Submit to the commission a request for approval to incur | 224 |
indebtedness to finance renewable energy generation measures. | 225 |
If the board elects to submit a request and the commission | 226 |
determines that the request is reasonable, the commission shall | 227 |
approve the board's request. Upon receipt of the commission's | 228 |
approval, the district may issue securities without a vote of the | 229 |
electors in a principal amount not to exceed nine-tenths of one | 230 |
per cent of its tax valuation for the purpose of renewable energy | 231 |
generation measures, but the total net indebtedness of the | 232 |
district without a vote of the electors incurred under this and | 233 |
all other sections of the Revised Code, except section 3318.052 of | 234 |
the Revised Code, shall not exceed one per cent of the district's | 235 |
valuation. | 236 |
(H) With the consent of the superintendent of public
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instruction, a school district may incur without a vote of the
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electors net indebtedness that exceeds the amounts stated in
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divisions (A) and (G) of this section for the purpose of paying
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costs of permanent improvements, if and to the extent that both of
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the following conditions are satisfied:
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(1) The fiscal officer of the school district estimates that
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receipts of the school district from payments made under or
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pursuant to agreements entered into pursuant to section 725.02,
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1728.10, 3735.671, 5709.081, 5709.082, 5709.40, 5709.41, 5709.62,
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5709.63, 5709.632, 5709.73, 5709.78, or 5709.82 of the Revised
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Code, or distributions under division (C) of section 5709.43 of
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the Revised Code, or any combination thereof, are, after
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accounting for any appropriate coverage requirements, sufficient
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in time and amount, and are committed by the proceedings, to pay
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the debt charges on the securities issued to evidence that
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indebtedness and payable from those receipts, and the taxing
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authority of the district confirms the fiscal officer's estimate,
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which confirmation is approved by the superintendent of public
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instruction;
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(2) The fiscal officer of the school district certifies, and
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the taxing authority of the district confirms, that the district,
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at the time of the certification and confirmation, reasonably
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expects to have sufficient revenue available for the purpose of
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operating such permanent improvements for their intended purpose
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upon acquisition or completion thereof, and the superintendent of
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public instruction approves the taxing authority's confirmation.
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The maximum maturity of securities issued under division (H)
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of this section shall be the lesser of twenty years or the maximum
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maturity calculated under section 133.20 of the Revised Code.
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(I) A school district may incur net indebtedness by the
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issuance of securities in accordance with the provisions of this
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chapter in excess of the limit specified in division (B) or (C) of
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this section when necessary to raise the school district portion
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of the basic project cost and any additional funds necessary to
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participate in a project under Chapter 3318. of the Revised Code,
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including the cost of items designated by the Ohio school
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facilities commission as required locally funded initiatives and
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the cost for site acquisition. The school facilities commission
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shall notify the superintendent of public instruction whenever a
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school district will exceed either limit pursuant to this
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division.
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(J) A school district whose portion of the basic project cost
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of its classroom facilities project under sections 3318.01 to
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3318.20 of the Revised Code is greater than or equal to one
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hundred million dollars may incur without a vote of the electors
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net indebtedness in an amount up to two per cent of its tax
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valuation through the issuance of general obligation securities in
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order to generate all or part of the amount of its portion of the
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basic project cost if the controlling board has approved the
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school facilities commission's conditional approval of the project
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under section 3318.04 of the Revised Code. The school district
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board and the Ohio school facilities commission shall include the
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dedication of the proceeds of such securities in the agreement
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entered into under section 3318.08 of the Revised Code. No state
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moneys shall be released for a project to which this section
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applies until the proceeds of any bonds issued under this section
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that are dedicated for the payment of the school district portion
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of the project are first deposited into the school district's
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project construction fund.
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Sec. 133.20. (A) This section applies to bonds that are
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general obligation Chapter 133. securities. If the bonds are
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payable as to principal by provision for annual installments, the
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period of limitations on their last maturity, referred to as their
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maximum maturity, shall be measured from a date twelve months
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prior to the first date on which provision for payment of
| 302 |
principal is made. If the bonds are payable as to principal by
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provision for semiannual installments, the period of limitations
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on their last maturity shall be measured from a date six months
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prior to the first date on which provision for payment of
| 306 |
principal is made.
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(B) Bonds issued for the following permanent improvements or
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for permanent improvements for the following purposes shall have
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maximum maturities not exceeding the number of years stated:
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(a) The clearance and preparation of real property for
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redevelopment as an urban redevelopment project;
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(b) Acquiring, constructing, widening, relocating, enlarging,
| 314 |
extending, and improving a publicly owned railroad or line of
| 315 |
railway or a light or heavy rail rapid transit system, including
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related bridges, overpasses, underpasses, and tunnels, but not
| 317 |
including rolling stock or equipment;
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(c) Pursuant to section 307.675 of the Revised Code,
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constructing or repairing a bridge using long life expectancy
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material for the bridge deck, and purchasing, installing, and
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maintaining any performance equipment to monitor the physical
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condition of a bridge so constructed or repaired. Additionally,
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the average maturity of the bonds shall not exceed the expected
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useful life of the bridge deck as determined by the county
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engineer under that section.
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(a) General waterworks or water system permanent
| 328 |
improvements, including buildings, water mains, or other
| 329 |
structures and facilities in connection therewith;
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(b) Sewers or sewage treatment or disposal works or
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facilities, including fireproof buildings or other structures in
| 332 |
connection therewith;
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(c) Storm water drainage, surface water, and flood prevention
| 334 |
facilities.
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(3) Thirty-five years:
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(a) An arena, a convention center, or a combination of an
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arena and convention center under section 307.695 of the Revised
| 338 |
Code;
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(b) Sports facilities.
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(a) Municipal recreation, excluding recreational equipment;
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(b) Urban redevelopment projects;
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(c) Acquisition of real property;
| 344 |
(d) Street or alley lighting purposes or relocating overhead
| 345 |
wires, cables, and appurtenant equipment underground; | 346 |
(e) Renewable energy generation measures as authorized by | 347 |
section 133.06 of the Revised Code.
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(5) Twenty years: constructing, reconstructing, widening,
| 349 |
opening, improving, grading, draining, paving, extending, or
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changing the line of roads, highways, expressways, freeways,
| 351 |
streets, sidewalks, alleys, or curbs and gutters, and related
| 352 |
bridges, viaducts, overpasses, underpasses, grade crossing
| 353 |
eliminations, service and access highways, and tunnels.
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(a) Resurfacing roads, highways, streets, or alleys;
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(b) Alarm, telegraph, or other communications systems for
| 357 |
police or fire departments or other emergency services; | 358 |
(c) Passenger buses used for mass transportation;
| 359 |
(d) Energy conservation measures as authorized by section
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133.06 of the Revised Code. | 361 |
(b) Fire department apparatus and equipment;
| 364 |
(c) Road rollers and other road construction and servicing
| 365 |
vehicles;
| 366 |
(d) Furniture, equipment, and furnishings;
| 367 |
(e) Landscape planting and other site improvements;
| 368 |
(f) Playground, athletic, and recreational equipment and
| 369 |
apparatus;
| 370 |
(g) Energy conservation measures as authorized by section
| 371 |
505.264 of the Revised Code.
| 372 |
(8) Five years: New motor vehicles other than those described
| 373 |
in any other division of this section and those for which
| 374 |
provision is made in other provisions of the Revised Code.
| 375 |
(C) Bonds issued for any permanent improvements not within
| 376 |
the categories set forth in division (B) of this section shall
| 377 |
have maximum maturities of from five to thirty years as the fiscal
| 378 |
officer estimates is the estimated life or period of usefulness of
| 379 |
those permanent improvements. Bonds issued under section 133.51 of
| 380 |
the Revised Code for purposes other than permanent improvements
| 381 |
shall have the maturities, not to exceed forty years, that the
| 382 |
taxing authority shall specify. Bonds issued for energy
| 383 |
conservation measures under section 307.041 of the Revised Code
| 384 |
shall have maximum maturities not exceeding the lesser of the
| 385 |
average life of the energy conservation measures as detailed in
| 386 |
the energy conservation report prepared under that section or
| 387 |
thirty years.
| 388 |
(D) Securities issued under section 505.265 of the Revised
| 389 |
Code shall mature not later than December 31, 2035.
| 390 |
(E) A securities issue for one purpose may include permanent
| 391 |
improvements within two or more categories under divisions (B) and
| 392 |
(C) of this section. The maximum maturity of such a bond issue
| 393 |
shall not exceed the average number of years of life or period of
| 394 |
usefulness of the permanent improvements as measured by the
| 395 |
weighted average of the amounts expended or proposed to be
| 396 |
expended for the categories of permanent improvements.
| 397 |
Sec. 3313.372. (A) As used in this section, "energy: | 398 |
(1) "Energy conservation measure" means an installation or
| 399 |
modification of an installation in, or remodeling of, a building,
| 400 |
to reduce energy consumption. It includes:
| 401 |
(1)(a) Insulation of the building structure and systems
| 402 |
within the building;
| 403 |
(2)(b) Storm windows and doors, multiglazed windows and
| 404 |
doors, heat absorbing or heat reflective glazed and coated window
| 405 |
and door systems, additional glazing, reductions in glass area,
| 406 |
and other window and door system modifications that reduce energy
| 407 |
consumption;
| 408 |
(3)(c) Automatic energy control systems;
| 409 |
(4)(d) Heating, ventilating, or air conditioning system
| 410 |
modifications or replacements;
| 411 |
(5)(e) Caulking and weatherstripping;
| 412 |
(6)(f) Replacement or modification of lighting fixtures to
| 413 |
increase the energy efficiency of the system without increasing
| 414 |
the overall illumination of a facility, unless such increase in
| 415 |
illumination is necessary to conform to the applicable state or
| 416 |
local building code for the proposed lighting system;
| 417 |
(7)(g) Energy recovery systems;
| 418 |
(8)(h) Cogeneration systems or other systems that produce or | 419 |
generate steam or forms of energy such as heat, as well as
| 420 |
electricity, for use primarily within a building or complex of
| 421 |
buildingson the premises or in conjunction with a net metering | 422 |
system;
| 423 |
(9)(i) Any other modification, installation, or remodeling
| 424 |
approved by the Ohio school facilities commission as an energy
| 425 |
conservation measure.
| 426 |
(2) "Renewable energy generation measure" means an
| 427 |
installation or modification of an installation in, or remodeling
| 428 |
of, a building, or installation of equipment on, in, or proximate
| 429 |
to a building, to generate electricity from renewable energy
| 430 |
resources as defined in section 4928.01 of the Revised Code. | 431 |
(B) A board of education of a city, exempted village, local,
| 432 |
or joint vocational school district may enter into an installment
| 433 |
payment contract for the purchase and installation of energy
| 434 |
conservation measures or renewable energy generation measures. The
| 435 |
provisions of such installment payment contracts dealing with
| 436 |
interest charges and financing terms shall not be subject to the
| 437 |
competitive bidding requirements of section 3313.46 of the Revised
| 438 |
Code, and shall be on the following terms:
| 439 |
(1) NotIn the case of the purchase and installation of | 440 |
energy conservation measures, not less than one-fifteenth of the | 441 |
costs thereof shall be paid within two years from the date of | 442 |
purchase. The remaining balance of the costs thereof shall be paid | 443 |
within fifteen years from the date of purchase. | 444 |
(2) In the case of the purchase and installation of renewable | 445 |
energy generation measures, not less than one-fifteenth | 446 |
one-thirtieth of the costs thereof shall be paid within two years | 447 |
from the date of purchase. The | 448 |
(2) The remaining balance of the costs thereof shall be paid
| 449 |
within fifteenthirty years from the date of purchase.
| 450 |
An installment payment contract entered into by a board of
| 451 |
education under this section shall require the board to contract
| 452 |
in accordance with division (A) of section 3313.46 of the Revised
| 453 |
Code for the installation, modification, or remodeling of energy
| 454 |
conservation measures or purchase and installation of renewable
| 455 |
energy generation measures unless division (A) of section 3313.46
| 456 |
of the Revised Code does not apply pursuant to division (B)(3) of
| 457 |
that section. An installment payment contract entered into under
| 458 |
this chapter may provide for the seller to retain title to
| 459 |
renewable energy generation equipment for part or all of the term
| 460 |
of the contract. | 461 |
(C) The board may issue the notes of the school district
| 462 |
signed by the president and the treasurer of the board and
| 463 |
specifying the terms of the purchase and securing the deferred
| 464 |
payments provided in this section, payable at the times provided
| 465 |
and bearing interest at a rate not exceeding the rate determined
| 466 |
as provided in section 9.95 of the Revised Code. The notes may
| 467 |
contain an option for prepayment and shall not be subject to
| 468 |
Chapter 133. of the Revised Code. In the resolution authorizing
| 469 |
the notes, the board may provide, without the vote of the electors
| 470 |
of the district, for annually levying and collecting taxes in
| 471 |
amounts sufficient to pay the interest on and retire the notes,
| 472 |
except that the total net indebtedness of the district without a
| 473 |
vote of the electors incurred under this and all other sections of
| 474 |
the Revised Code, except section 3318.052 of the Revised Code,
| 475 |
shall not exceed one per cent of the district's tax valuation.
| 476 |
Revenues derived from local taxes or otherwise, for the purpose of
| 477 |
conserving or generating energy or for defraying the current
| 478 |
operating expenses of the district, may be applied to the payment
| 479 |
of interest and the retirement of such notes. The notes may be
| 480 |
sold at private sale or given to the contractor under the
| 481 |
installment payment contract authorized by division (B) of this
| 482 |
section.
| 483 |
(D) Debt incurred under this section shall not be included in
| 484 |
the calculation of the net indebtedness of a school district under
| 485 |
section 133.06 of the Revised Code.
| 486 |
(E)(1) No school district board shall enter into an
| 487 |
installment payment contract under division (B) of this section
| 488 |
for the purchase and installation of energy conservation measures | 489 |
unless it first obtains a report of the costs of the energy
| 490 |
conservation measures and the savings thereof as described under
| 491 |
division (G)(1) of section 133.06 of the Revised Code as a
| 492 |
requirement for issuing energy securities, makes a finding that
| 493 |
the amount spent on such measures is not likely to exceed the
| 494 |
amount of money it would save in energy costs and resultant
| 495 |
operational and maintenance costs as described in that division,
| 496 |
except that that finding shall cover the ensuing fifteen years, | 497 |
and the Ohio school facilities commission determines that the | 498 |
district board's findings are reasonable and approves the
| 499 |
contract as described in that division.
| 500 |
The district board shall monitor the savings and maintain a
| 501 |
report of those savings, which shall be available to the
| 502 |
commission in the same manner as required by division (G) of
| 503 |
section 133.06 of the Revised Code in the case of energy
| 504 |
securities.
| 505 |
(2) No school district board shall enter into an installment
| 506 |
payment contract under division (B) of this section for the
| 507 |
purchase and installation of renewable energy generation measures
| 508 |
unless the commission, as required by division (G)(2) of section | 509 |
133.06 of the Revised Code, determines that the board's request to | 510 |
enter into the contract is reasonable and approves the contract as | 511 |
described in division (B) of this section. | 512 |
Sec. 3313.377. (A) As used in this section, "renewable energy
| 513 |
system" means a system providing electricity produced from | 514 |
renewable energy resources as defined in division (A)(35) of | 515 |
section 4928.01 of the Revised Code. | 516 |
(B)(1) There is hereby established the renewable energy | 517 |
schools pilot program. Under the pilot program, within three years | 518 |
after the effective date of this section, school districts in the | 519 |
state with student enrollment of five thousand or more shall | 520 |
install one or more renewable energy systems on district property | 521 |
in accordance with the following: | 522 |
(a) School districts with student enrollment of five thousand | 523 |
to ten thousand students shall install a renewable energy system | 524 |
equal to a minimum total of two hundred fifty kilowatts for the | 525 |
district. | 526 |
(b) School districts with student enrollment of more than ten | 527 |
thousand students shall install a renewable energy system equal to | 528 |
a minimum total of five hundred kilowatts for the district. | 529 |
To meet this requirement, a renewable energy system may be | 530 |
installed on, in, or proximate to schools or other buildings or | 531 |
facilities belonging to the district. The board of education of | 532 |
each district participating in the pilot program shall designate | 533 |
the particular schools, buildings, or other facilities that shall | 534 |
install renewable energy systems. | 535 |
(2) For use in the schools' curriculum, each district | 536 |
participating in the pilot program shall set up a renewable energy | 537 |
educational installation or demonstration module at every school | 538 |
at which a renewable energy system is installed. Provision for | 539 |
such installation or module shall be included as a condition of | 540 |
the contract the board enters into pursuant to division (C) of | 541 |
this section. If a renewable energy system is installed on, in, or | 542 |
proximate to a district building or facility other than a school, | 543 |
then the board shall determine the location for the installation | 544 |
or module. | 545 |
(3)(a) In order to meet the electricity requirement of | 546 |
division (B)(1) of this section, the board shall submit a request | 547 |
for proposals to be published in a newspaper of general | 548 |
circulation in the district once each week for a period of at | 549 |
least two consecutive weeks prior to the date specified by the | 550 |
board for receiving proposals. The request for proposals shall | 551 |
include a general description of the proposed contract to install | 552 |
one or more renewable energy systems. Respondents to the request | 553 |
for proposals shall be among those listed as eligible renewable | 554 |
energy installers by the Ohio energy office within the department | 555 |
of development for the advanced energy program and shall describe | 556 |
how their proposal meets the electricity requirement of division | 557 |
(B)(1) of this section in a manner that would be economic for the | 558 |
district regarding the reasonably forecasted retail rate of | 559 |
electricity payable by the district over a thirty-year period. | 560 |
(b) When selecting a proposal for the pilot program contract, | 561 |
the board shall take into consideration the amount of the system | 562 |
components that would be manufactured in the state and give | 563 |
preference to the proposal that includes the most components | 564 |
manufactured in the state. | 565 |
(c) If, within ninety days, the board determines that no | 566 |
proposals have been received that allow the board to enter into a | 567 |
contract so that compliance with the electricity requirement of | 568 |
this section would be economic as described in division (B)(3)(a) | 569 |
of this section, with the result that the district is unable to | 570 |
comply with the electricity requirement in division (B)(1) of this | 571 |
section, the district may comply as closely as possible to the | 572 |
requirement of division (B)(1) of this section or may withdraw the | 573 |
request for proposals and elect not to participate in the pilot | 574 |
program. | 575 |
(C)(1) To comply with division (B) of this section, the board | 576 |
of education of a district participating in the pilot program | 577 |
pursuant to this section shall provide for the installation,
| 578 |
operation, and maintenance of a renewable energy system on the
| 579 |
property of each designated school, building, or other facility. | 580 |
The board may provide for such system either by its direct | 581 |
ownership of the system or by hosting the system pursuant to a | 582 |
contract with a third-party provider, other than the board, that | 583 |
shall own the system and install, operate, and maintain the | 584 |
system. In the case of direct ownership of the system, the board | 585 |
may enter into an installment payment contract for renewable | 586 |
energy generation measures pursuant to section 3313.372 of the | 587 |
Revised Code. In the case of a board hosting the system pursuant | 588 |
to a contract with a third-party provider, the board shall enter | 589 |
into a power purchase agreement with the third-party provider to | 590 |
supply the designated school, building, or other facility with the
| 591 |
electricity generated by the renewable energy system installed at | 592 |
the school, building, or other facility. | 593 |
(2) No board shall enter into a contract pursuant to this | 594 |
section if the contract is in force for a period that is longer | 595 |
than the period for which a renewable energy system installed in | 596 |
the district is under written warranty of the manufacturer or | 597 |
distributor of the system. | 598 |
(3) If a board enters into a contract pursuant to this | 599 |
section, the contract shall include a provision for the | 600 |
termination of the contract, including terms under which the board | 601 |
may terminate the contract without being charged a termination fee | 602 |
of any kind if the board determines that the cost the district | 603 |
pays for the electricity generated by the renewable energy system | 604 |
is substantially greater than the retail rate of electricity that | 605 |
would have been payable by the district if the system had not been | 606 |
installed. | 607 |
(4) If a board enters into a contract with a third-party | 608 |
provider pursuant to this section, the contract shall include a | 609 |
provision describing the terms under which the board may purchase | 610 |
the renewable energy system from the third-party provider. | 611 |
(D) No board shall purchase renewable energy
resource | 612 |
credits to meet the electricity requirement of division (B)(1) of | 613 |
this section. | 614 |
(E) Not later than the thirtieth day of June in the years | 615 |
2010, 2011, and 2012, each third-party provider that has | 616 |
contracted with a board pursuant to division (C) of this section | 617 |
shall submit to the Ohio energy office within the department of | 618 |
development an annual status report of its participation in the | 619 |
pilot program. Not later than the thirty-first day of December in | 620 |
the years 2010, 2011, and 2012, the office shall submit a report | 621 |
that provides the status of the pilot program to the speaker of | 622 |
the house of representatives, the minority leader of the house of | 623 |
representatives, the president of the senate, and the minority | 624 |
leader of the senate. At a minimum the report shall include the | 625 |
following: | 626 |
(1) The number of school districts in the state that are | 627 |
participating in the pilot program; | 628 |
(2) The number of renewable energy systems installed within | 629 |
each district; | 630 |
(3) The total nameplate generating capacity of the renewable | 631 |
energy systems installed within each district; | 632 |
(4) Each district's estimated energy savings for the report | 633 |
year. | 634 |
The office may include in its report recommendations | 635 |
regarding the pilot program, including recommendations as to | 636 |
whether the pilot program should be expanded to permit more | 637 |
districts to participate. | 638 |
The general assembly shall conduct an evaluation of the pilot | 639 |
program at the end of the three-year period. When conducting the | 640 |
evaluation, the general assembly shall consider the office's | 641 |
annual reports and the recommendations, if any, made by the | 642 |
office. | 643 |
Sec. 3313.46. (A) In addition to any other law governing
| 644 |
the bidding for contracts by the board of education of any school
| 645 |
district, when any such board determines to build, repair,
| 646 |
enlarge, improve, or demolish any school building, the cost of
| 647 |
which will exceed twenty-five thousand dollars, except in cases of
| 648 |
urgent necessity, or for the security and protection of school
| 649 |
property, and except as otherwise provided in division (D) of
| 650 |
section 713.23 and in section 125.04 of the Revised Code, all of
| 651 |
the following shall apply:
| 652 |
(1) The board shall cause to be prepared the plans,
| 653 |
specifications, and related information as required in divisions
| 654 |
(A), (B), and (D) of section 153.01 of the Revised Code unless the
| 655 |
board determines that other information is sufficient to inform
| 656 |
any bidders of the board's requirements. However, if the board
| 657 |
determines that such other information is sufficient for bidding a
| 658 |
project, the board shall not engage in the construction of any
| 659 |
such project involving the practice of professional engineering,
| 660 |
professional surveying, or architecture, for which plans,
| 661 |
specifications, and estimates have not been made by, and the
| 662 |
construction
thereof inspected by, a licensed professional
| 663 |
engineer, licensed professional surveyor, or registered architect.
| 664 |
(2) The board shall advertise for bids once each week for a
| 665 |
period of not less than two consecutive weeks in a newspaper of
| 666 |
general circulation in the district before the date specified by
| 667 |
the board for receiving bids. The board may also cause notice to
| 668 |
be inserted in trade papers or other publications designated by
| 669 |
it or to be distributed by electronic means, including posting
| 670 |
the notice on the board's internet web site. If the board posts
| 671 |
the notice on its web site, it may eliminate the second notice
| 672 |
otherwise required to be published in a newspaper of general
| 673 |
circulation within the school district, provided that the first
| 674 |
notice published in such newspaper meets all of the following
| 675 |
requirements:
| 676 |
(a) It is published at least two weeks before the opening of
| 677 |
bids.
| 678 |
(b) It includes a statement that the notice is posted on the
| 679 |
board of education's internet web site.
| 680 |
(c) It includes the internet address of the board's internet
| 681 |
web site.
| 682 |
(d) It includes instructions describing how the notice may be
| 683 |
accessed on the board's internet web site.
| 684 |
(3) Unless the board extends the time for the opening of bids
| 685 |
they shall be opened at the time and place specified by the board
| 686 |
in the advertisement for the bids.
| 687 |
(4) Each bid shall contain the name of every person
| 688 |
interested therein. Each bid shall meet the requirements of
| 689 |
section 153.54 of the Revised Code.
| 690 |
(5) When both labor and materials are embraced in the work
| 691 |
bid for, the board may require that each be separately stated in
| 692 |
the bid, with the price thereof, or may require that bids be
| 693 |
submitted without such separation.
| 694 |
(6) None but the lowest responsible bid shall be accepted.
| 695 |
The board may reject all the bids, or accept any bid for both
| 696 |
labor and material for such improvement or repair, which is the
| 697 |
lowest in the aggregate. In all other respects, the award of
| 698 |
contracts for improvement or repair, but not for purchases made
| 699 |
under section 3327.08 of the Revised Code, shall be pursuant to
| 700 |
section 153.12 of the Revised Code.
| 701 |
(7) The contract shall be between the board and the bidders.
| 702 |
The board shall pay the contract price for the work pursuant to
| 703 |
sections 153.13 and 153.14 of the Revised Code. The board shall
| 704 |
approve and retain the estimates referred to in section 153.13 of
| 705 |
the Revised Code and make them available to the auditor of state
| 706 |
upon request.
| 707 |
(8) When two or more bids are equal, in the whole, or in any
| 708 |
part thereof, and are lower than any others, either may be
| 709 |
accepted, but in no case shall the work be divided between such
| 710 |
bidders.
| 711 |
(9) When there is reason to believe there is collusion or
| 712 |
combination among the bidders, or any number of them, the bids of
| 713 |
those concerned therein shall be rejected.
| 714 |
(B) Division (A) of this section does not apply to the board
| 715 |
of education of any school district in any of the following
| 716 |
situations:
| 717 |
(1) The acquisition of educational materials used in
| 718 |
teaching.
| 719 |
(2) If the board determines and declares by resolution
| 720 |
adopted by two-thirds of all its members that any item is
| 721 |
available and can be acquired only from a single source.
| 722 |
(3) If the board declares by resolution adopted by two-thirds
| 723 |
of all its members that division (A) of this section does not
| 724 |
apply to any installation, modification, or remodeling involved in
| 725 |
anyof either of the following: | 726 |
(a) An energy conservation measure undertaken through an
| 727 |
installment payment contract under section 3313.372 of the
| 728 |
Revised Code or undertaken pursuant to division (G)(1) of section
| 729 |
133.06 of the Revised Code; | 730 |
(b) A renewable energy generation measure, including a | 731 |
renewable energy system under section 3313.377 of the Revised | 732 |
Code, undertaken through an installment payment contract under | 733 |
section 3313.372 of the Revised Code or undertaken pursuant to | 734 |
division (G)(2) of section 133.06 of the Revised Code.
| 735 |
(4) The acquisition of computer software for instructional
| 736 |
purposes and computer hardware for instructional purposes pursuant
| 737 |
to division (B)(4) of section 3313.37 of the Revised Code.
| 738 |
(C) No resolution adopted pursuant to division (B)(2) or (3)
| 739 |
of this section shall have any effect on whether sections 153.12
| 740 |
to 153.14 and 153.54 of the Revised Code apply to the board of
| 741 |
education of any school district with regard to any item.
| 742 |
Sec. 4928.62. (A) There is hereby created the advanced
| 743 |
energy program, which shall be administered by the director of
| 744 |
development. Under the program, the director may authorize the use
| 745 |
of moneys in the advanced energy fund for financial, technical,
| 746 |
and related assistance for advanced energy projects in this state
| 747 |
or for economic development assistance, in furtherance of the
| 748 |
purposes set forth in section 4928.63 of the Revised Code. To the
| 749 |
extent feasible given approved applications for assistance, the
| 750 |
assistance shall be distributed among the certified territories of
| 751 |
electric distribution utilities and participating electric
| 752 |
cooperatives, and among the service areas of participating
| 753 |
municipal electric utilities, in amounts proportionate to the
| 754 |
remittances of each utility and cooperative under divisions (B)(1)
| 755 |
and (3) of section 4928.61 of the Revised Code.
| 756 |
The director shall not authorize financial assistance for an
| 757 |
advanced energy project under the program unless the director
| 758 |
first determines that the project will create new jobs or preserve
| 759 |
existing jobs in this state or use innovative technologies or
| 760 |
materials.
| 761 |
(B) In carrying out sections 4928.61 to 4928.63 of the
| 762 |
Revised Code, the director may do all of the following to further
| 763 |
the public interest in advanced energy projects and economic
| 764 |
development:
| 765 |
(1) Award grants, contracts, loans, loan participation
| 766 |
agreements, linked deposits, and energy production incentives;
| 767 |
(2) Acquire in the name of the director any property of any
| 768 |
kind or character in accordance with this section, by purchase,
| 769 |
purchase at foreclosure, or exchange, on such terms and in such
| 770 |
manner as the director considers proper;
| 771 |
(3) Make and enter into all contracts and agreements
| 772 |
necessary or incidental to the performance of the director's
| 773 |
duties and the exercise of the director's powers under sections
| 774 |
4928.61 to 4928.63 of the Revised Code;
| 775 |
(4) Employ or enter into contracts with financial
| 776 |
consultants, marketing consultants, consulting engineers,
| 777 |
architects, managers, construction experts, attorneys, technical
| 778 |
monitors, energy evaluators, or other employees or agents as the
| 779 |
director considers necessary, and fix their compensation;
| 780 |
(5) Adopt rules prescribing the application procedures for
| 781 |
financial assistance under the advanced energy program; the terms
| 782 |
and conditions of any grants, contracts, loans, loan participation
| 783 |
agreements, linked deposits, and energy production incentives;
| 784 |
criteria pertaining to the eligibility of participating lending
| 785 |
institutions; and any other matters necessary for the
| 786 |
implementation of the program;
| 787 |
(6) Do all things necessary and appropriate for the operation
| 788 |
of the program.
| 789 |
(C) The department of development may hold ownership to any
| 790 |
unclaimed energy efficiency and renewable energy emission
| 791 |
allowances provided for in Chapter 3745-14 of the Administrative
| 792 |
Code or otherwise, that result from advanced energy projects that
| 793 |
receive funding from the advanced energy fund, and it may use the
| 794 |
allowances to further the public interest in advanced energy
| 795 |
projects or for economic development.
| 796 |
(D) Financial statements, financial data, and trade secrets
| 797 |
submitted to or received by the director from an applicant or
| 798 |
recipient of financial assistance under sections 4928.61 to
| 799 |
4928.63 of the Revised Code, or any information taken from those
| 800 |
statements, data, or trade secrets for any purpose, are not public
| 801 |
records for the purpose of section 149.43 of the Revised Code.
| 802 |
(E) Nothing in the amendments of sections 4928.61, 4928.62,
| 803 |
and 4928.63 of the Revised Code by Sub. H.B. 251 of the 126th
| 804 |
general assembly shall affect any pending or effected assistance,
| 805 |
pending or effected purchases or exchanges of property made, or
| 806 |
pending or effected contracts or agreements entered into pursuant
| 807 |
to division (A) or (B) of this section as the section existed
| 808 |
prior to the effective date of those amendments, January 4, 2007, | 809 |
or shall affect the exemption provided under division (C) of this
| 810 |
section as the section existed prior to that effective date.
| 811 |
(F) Any assistance a school district receives for an advanced
| 812 |
energy project, including a geothermal heating, ventilating, and
| 813 |
air conditioning system, and renewable energy generation measures
| 814 |
under sections 3313.372 and 3313.377 of the Revised Code, shall be
| 815 |
in addition to any assistance provided under Chapter 3318. of the
| 816 |
Revised Code and. Any assistance for an advanced energy project
| 817 |
under this division shall not be included as part of the district
| 818 |
or state portion of the basic project cost under that chapter | 819 |
Chapter 3318. of the Revised Code.
| 820 |
Section 2. That existing sections 133.06, 133.20, 3313.372,
| 821 |
3313.46, and 4928.62 of the Revised Code are hereby repealed.
| 822 |